Council to cut 200 jobs amid budget pressures

The council indicated there could be compulsory redundancies if the cuts were not achieved through other means

A council is set to cut 200 jobs as it grapples with a multimillion-pound budget shortfall.

North Tyneside Council has announced plans to reduce its 4,000-strong workforce by 5% in an attempt to shave £6.5m from its wage bill over the next two years.

Jon Ritchie, the council’s director of resources, said it was working with trade unions to ensure everyone was supported.

But councillor Liam Bones, leader of the North Tyneside Conservatives, called the plans "inexcusable".

The local authority informed staff on Friday it was opening applications for voluntary redundancy, the Local Democracy Reporting Service said.

The Labour-run council indicated it might make compulsory redundancies in 12 to 18 months' time if the cuts were not achieved through voluntary redundancy, closing vacancies, and people taking flexible retirement.

"We appreciate that this will be an opportunity for some colleagues, and an unsettling time for others, and we’re working with trade unions and our People team to ensure everyone is supported," Mr Ritchie said.

Bones said the North Tyneside mayor, Dame Norma Redfearn, should commit to making sure job cuts did not fall on front-line staff.

"Cutting 5% of council staff while they protect things like the chauffeur driven car and spend millions on cycle paths and other vanity projects is inexcusable," he said.

'Unprecedented pressure'

Mr Ritchie said bosses were "finding it increasingly difficult to achieve a balanced budget".

"We’re experiencing unprecedented pressure on many of our services, especially social care, where case numbers, complexity and costs have increased at higher rate than government funding," he said.

Officials are warning of a predicted £9.5m overspend in the current financial year alone, plus a further £31m in 2025/26.

The council said it hoped to save £2m from adult social care services by reducing its reliance on contracting more expensive private operators and having people receive care in their own homes for longer.

Finance chiefs are also planning a 4.99% council tax increase from next April.